Intersecting paths: Corporate and green innovation in Chinese firms-A penal cointegration analysis.

In today's dynamic and competitive business landscape, innovation is paramount for companies striving to maintain a competitive edge. Among various innovation strategies, corporate green innovation has gained prominence as an efficient means of achieving sustainable growth. In response to the pressing need for sustainable development, this study investigates the bidirectional cointegration link between green innovation and overall corporate innovation in a panel dataset of Chinese-listed enterprises.As China emphasizes principles like "greening" and "innovation" for twenty-first-century development, this research aligns with the nation's goal of fostering sustainable industry growth through "green innovation". It employs panel cointegration tests, including the Westerlund test, dynamic panel ordinary least square (DOLS), and the panel vector error correction model (VECM), using data from Chinese A-listed firms spanning from 2008 to 2020. The study reveals a robust long-term, bidirectional relationship between corporate innovation and green innovation. Notably, it demonstrates that green innovation causally impacts corporate innovation in both the short and long term. This research also conducts subsample analysis, ensuring the robustness of the main findings across both non-polluted and polluted industries. These findings provide valuable insights into how corporate innovation factors influence corporate green innovation. Consequently, they offer valuable insights for policymakers and organizations, aiding in the formulation of policies that promote environmentally friendly innovation while elevating corporate innovation standards.

Impact of geographical, meteorological, demographic, and economic indicators on the trend of COVID-19: A global evidence from 202 affected countries.

Research problem: Public health and the economy face immense problems because of pathogens in history globally. The outbreak of novel SARS-CoV-2 emerged in the form of coronavirus (COVID-19), which affected global health and the economy in almost all countries of the world. Study design: The objective of this research is to examine the trend of COVID-19, deaths, and transmission rates in 202 affected countries. The virus-affected countries were grouped according to their continent, meteorological indicators, demography, and income. This is quantitative research in which we have applied the Poisson regression method to assess how temperature, precipitation, population density, and income level impact COVID-19 cases and fatalities. This has been done by using a semi-parametric and additive polynomial model. Findings: The trend analysis depicts that COVID-19 cases per million were comparatively higher for two groups of countries i.e., (a) average temperature below 7.5 °C and (b) average temperature between 7.5 °C and 15 °C, up to the 729th day of the outbreak. However, COVID-19 cases per million were comparatively low in the countries having an average temperature between 22.5 °C and 30 °C. The day-wise trend was comparatively higher for the countries having average precipitation between (a) 1 mm and 750 mm and (b) 750 mm and 1500 mm up to the 729th day of the outbreak. The day-wise trend was comparatively higher for the countries having more than 1000 people per sq. km. Discussing the COVID-19 cases per million, the day-wise trend was higher for the HICs, followed by UMICs, LMICs, and LIC. Conclusion: The study highlights the need for targeted interventions and responses based on the specific circumstances and factors affecting each country, including their geographical location, temperature, precipitation levels, population density, and per capita income.

Nurturing environmental champions: exploring the influence of environmental-specific servant leadership on environmental performance in the hospitality industry.

This study investigates the impact of environmental-specific servant leadership (ESSL) on environmental performance (EP) in the context of the hospitality industry. It further examines the mediating roles of environmental concern (EC) and employees' pro-social attitude (EPSA) in this relationship. Drawing on a sample of hospitality organizations, data was collected using self-report questionnaires from employees. Structural equation modeling (SEM) was employed to analyze the data and test the proposed model. The results demonstrate a positive and significant relationship between ESSL and EP in the hospitality industry. Furthermore, the study reveals that EC and EPSA play a mediating role in the relationship between ESSL and EP. The findings highlight the importance of ESSL in driving environmental performance and underscore the significance of fostering EC and EPSA among employees. Organizations can benefit from developing and nurturing ESSL leaders who inspire and motivate employees to embrace sustainability practices and contribute to a more environmentally responsible and sustainable industry.

Achieving sustainable environment through infrastructure and energy structure developments: empirical evidence from BRICS.

The development of an environment that is sustainable requires infrastructure matching this goal. Moreover, it is almost impossible to achieve this goal without the requisite energy structure. Devising an energy structure that is both effective and efficient must precede the desired infrastructure to achieve sustainability goals. Therefore, it is important to look into the nexus of energy structure, infrastructure, and carbon emissions in "Brazil, Russia, India, China, and South Africa (BRICS)" countries under the growth and environment hypothesis. To empirically estimate the said nexus, robust econometric techniques are adopted. This paper employs panel data analysis techniques to investigate the relationship between infrastructure, energy consumption, and carbon emissions in the BRICS countries. The econometric estimation methodology includes a cross-sectional dependence test, unit root attribute of the panel data using the cross-sectionally augmented Im Pesaran and Shin (CIPS) test, and estimation of co-integration among the variables, and to address the issues in the panel data, augmented mean group (AMG) technique and common correlated effects mean group (CCEMG) estimator were employed. Findings suggest the existence of a supportive role of infrastructure and energy structure in abating carbon emissions. It is suggested that the BRICS economies need to enhance their investment in infrastructure and energy structure for them to create a sustainable environment. Findings are also robust to short- and long-run policy implications. This study is a step forward toward the Sustainable Development Goals (SDGs).

Financial intermediation through risk sharing vs non-risk sharing contracts, role of credit risk, and sustainable production: evidence from leading countries in Islamic finance.

The asset side of Islamic banks has two different portfolios running side by side, namely risk-sharing (PLS) and non-risk sharing (non-PLS) financing. The segregation of PLS and non-PLS financing has gathered some attention recently owning to its relative importance for sustainable economic output. This study attempts to analyze the impact of decomposed Islamic financing modes (PLS and non-PLS) with a particular focus on their impact on real economic activity. In addition, we moderated the relationship with asset quality of aggregate Islamic banking sector. Quarterly data from 2014 to 2021 have been sourced from datasets of the Islamic financial service board (IFSB), the International Monetary Fund (IMF), World Bank, and Central banks' data streams. Eleven countries have been selected based on the highest local and global share in global Islamic financial assets. Panel data regression model has been used in this study. The findings indicate that PLS financing is a weaker driver to channelize funds. However, industrial production output is significantly affected by non-PLS financing. Further the results suggest, Islamic finance-output nexus found to have a stronger relationship in the presence of higher asset quality of Islamic banks. The results show that firms mostly rely on non-PLS financing, due to reduced asymmetry and higher transparency in non-PLS contracts compared to PLS modes. The results have implications for governing bodies of Islamic financial system in boosting risk-sharing contracts and firms to limit agency conflicts arising from fluctuating cost of financing.

Regulating CEO pay and green innovation: moderating role of social capital and government subsidy.

The Chinese government has implemented the policies to regulate executive (CEO) pay in state-owned enterprises (SOEs) with the aim of promoting wage equality. This study examines whether these policies affect the motivation of CEOs to engage in green innovation (GI). By analyzing data from Chinese listed SOEs between 2008 and 2017, the study reveals an unintended environmental consequence of regulating CEO pay. We found a negative causal relationship between regulating CEO pay and GI. Moreover, we provide evidence that social capital act as a mitigating factor promotes cooperation and a shared sense of responsibility towards sustainable practices. Additionally, government subsidies provide financial incentives and support for businesses to invest in sustainable practices and technologies, which can offset the negative impact of CEO pay regulation on GI. The results of this study offer policy recommendations to encourage sustainable environmental initiatives; the government should increase its support for GI and introduce new incentives for managers. Overall the study findings are robust and remain valid even after conducting rigorous testing with instrumental variables and other robustness checks.

Embracing green banking as a mean of expressing green behavior in a developing economy: exploring the mediating role of green culture.

According to a plethora of research and publications, the volume and amount of pollution are largely attributable to human-made emissions. Even during the recently ended Covid-19 outbreak, there was a notable decrease in global pollution, particularly in Pakistan's heavily populated cities. Due to the current situation, it is strategically important to safeguard the environment, and there are many criteria and predictors that should be used to encourage green behavior. This study examines green banking as a means of demonstrating ecologically responsible conduct in a developing nation. A survey questionnaire was used to collect information from 280 respondents via human contact and an internet platform. Software called SmartPLS3.0 was used to analyze the structural relationships between the study's variables. The results show that customers' adoption of green banking practices is statistically significantly influenced by their level of environmental consciousness and attitude. Similarly, green culture exhibits a substantial mediating influence between the independent variables and green behavior as well as a positive significant effect on green behavior. However, it is established that the consumer's apparent behavioral control is negligible. Particularly, the cognitive connection between behavior and culture is weak and insufficient to forecast behavior. For policymakers, especially those working in the field of green education, this study has many real-world applications.

ESG performance, capital financing decisions, and audit quality: empirical evidence from Chinese state-owned enterprises.

We study the nexus between environmental, social, and governance (ESG) performance and corporate capital financing decisions. Further, we also analyze the effect of audit quality and type of ownership (state-owned enterprises (SOEs) vs non-state-owned enterprises (non-SOEs), local vs central SOEs in this relationship. By applying panel regression (fixed effects) on 6295 firm-year observations of Chinese A-listed enterprises data for 2010-2019, we conclude that firms' ESG information is crucial to their financing decisions. In particular, firms with superior ESG performance have lower debt financing. The findings suggest that enterprises with strong ESG performance have easy access to equity funding via stock markets. Further, this relationship is more pronounced in SOE compared to non-SOEs and in central SOEs compared to local SOEs. These results demonstrate that the market may promote desired social outcomes by rewarding ESG performance; however, we find no significant effect of audit quality in this relationship. Findings are robust to different sensitivity tests, including an alternative estimation, sysGMM regression to address endogeneity issues, and lagged regressions to address reverse causality.

Impact of COVID-19 on the wellbeing of micro and small entrepreneurs of rural Pakistan.

According to the constitution of Pakistan, the state is responsible for the provision of necessities of life to its citizens whenever their livelihood is permanently or temporarily threatened. COVID-19 and its associated lockdowns were a series of events where amenities of life around the world were seriously endangered. Especially, hard hit were the small- and medium-sized entrepreneurs (SMEs) of rural Pakistan. To quantitatively assess the social and economic impact of COVID-19, we interviewed the local microenterprise owners in rural Pakistan from January to February 2021 and then June 2021. Mean comparison tests were estimated for pre- and post-COVID-19 periods. Results reveal that the COVID-19 pandemic has significantly and negatively affected wellbeing of micro and small entrepreneurs in the regions as the income of most of the sampled entrepreneurs significantly decreased during the pandemic. Disaggregated consumption analysis however revealed that nominal consumption of food, clothing, energy, health, and education all increased, except for communication, during the pandemic. Furthermore, the regression analysis revealed that changes in income, occupation, borrowing during COVID-19, and family type of the respondents were significant factors in mitigating the effects of COVID-19. Based on the findings, policy recommendations are also spelled out in the last section.

Role of Managerial Ability in Environmental, Social, and Economics Sustainability: An Empirical Evidence from China.

The current study analyzed whether the enhancement in managerial ability accelerates the environmental, social, and economic sustainability practices or not. Using panel data methodology on Chinese listed firms data from 2010 to 2019, we report that CEOs' managerial ability impacts the overall (environmental, social, and economic) sustainability practices of the firms positively. Moreover, we find that social sustainability and economic sustainability also increase with the increase of the CEO's managerial ability in the firm. The results remain robust after several alternative empirical tests. The findings justify the relationship between management skills and sustainability and demonstrate how each one of the sustainability pillars is affected individually. The support for sustainability practices that can be achieved through the communication of management skills is an essential conclusion for practitioners. Findings establish the link between CEO's managerial ability and environmental, social, and economic sustainability performance by taking insights from upper echelon theory.

Awareness Level of Business Students regarding Drinking Water Safety and Associated Adulteration Accidents: A Multinomial Logistic Regression Approach.

The industrialization of metropolis urban areas with dry and steppe climates raise substantial environmental contamination, particularly in the water domain. This research investigated the awareness levels of business students toward drinking water quality and safety. We further explored the knowledge of the business students regarding drinking water issues and remedies. Eighty-four percent of respondents were happy with the quality of their drinking water, according to the findings. Approximately 66% of respondents paid special or rather high attention to drinking water quality and contamination incidents, particularly regarding possible harm to the human body and health, impact scope, and accident reasons. Few respondents reported to the health department or phoned the water safety department; 47.5% of respondents resolved drinking water issues independently. Age and education level did not play a significant role in the degree of public satisfaction with water quality or the public's perception of water pollution incidents; however, business students in Samundri were more satisfied with their drinking water quality, and residents of Faisalabad Sadar were more aware of drinking water contamination incidents than residents in areas without such a network. Respondents with higher levels of education were more aware of water quality and pollution incidents than those with lower levels of education. The steppe climate, diverse human activities, and industrialization led to water pollution. The current research findings may provide fundamental data for efficient water management in the most populated and industrialized regions.

Impact of Environmental Fluctuations on Stock Markets: Empirical Evidence from South Asia.

The proportionate use of energy represents economic activity as well as environmental degradation. This study intends to examine the volatility spillover of environmental fluctuations (energy prices) to the stock markets of south Asian countries (i.e., Bangladesh, India, and Pakistan). In this regard, the data have been gathered from the Thomson Reuters DataStream from 2013 to 2021. This study has applied the Granger causality test and ARCH-GARCH (1, 1). It concludes that the bidirectional causality exists between the environmental prices (i.e., energy market) and Bangladesh, Pakistan, and India stock markets (BSE-100, DSE-30, and KSE-100, respectively). The empirical findings of this study show that there are volatility spillovers from the energy to the stock markets of Pakistan and India. On the other hand, no volatility spillover is observed from the energy to the stock market of Bangladesh. Moreover, the study implies that investors should invest in these stock markets to reduce the risk involved with diversification.

Do Chief Executives Matter in Corporate Financial and Social Responsibility Performance Nexus? A dynamic Model Analysis of Chinese Firms.

This study examined the relationship between Corporate Financial Performance (CFP) and Corporate Social Responsibility Performance (CSRP). Furthermore, it explored the effectiveness of chief executive characteristics as a moderator in the CFP-CSRP nexus. We employed a dynamic sysGMM regression model on 2,439 firm-year observations of Chinese firms. The results reveal that CFP (market-based) has a significant positive impact on CSRP. However, CFP (historical) is significantly negatively related to CSRP. Furthermore, the study found that CEO turnover and CEO duality negatively moderate the CFP-CSRP relationship, while CEO as CFO positively moderates this relationship. The findings have substantial implications for all stakeholders, including investors, CEOs, corporate regulators, and policymakers.

Does Whipping Tournament Incentives Spur CSR Performance? An Empirical Evidence From Chinese Sub-national Institutional Contingencies.

The current study investigates whether tournament incentives motivate chief executive officer(s) (CEOs) to be socially responsible. Furthermore, it explores the role of sub-national institutional contingencies [i.e., state-owned enterprises (SOE) vs. non-SOEs, foreign-owned entities (FOE) vs. non-FOEs, cross-listed vs. non-cross-listed, developed region] in CEO tournament incentives and the corporate social responsibility performance (CSRP) relationship. Data were collected from all A-shared companies listed in the stock exchanges of China from 2014 to 2019. The study uses the baseline methodology of ordinary least squares (OLS) and cluster OLS regression. Moreover, firm-fixed effects regression, two-stage least squares regression, and propensity score matching deal with the endogeneity problem and check the robustness of the results. The results provide reliable evidence that tournament incentives motivate CEOs to be more socially responsible. On the other hand, sub-national institutional contingencies positively affect the association between CEO tournament incentives and CSRP. The findings have important implications for companies and regulators who wish to enhance CSP by providing incentives to top managers.